Mercedes-Benz is struggling to ramp up production of its electric GLC in Bremen. According to a media report, shortages of key components, including batteries and wiring harnesses, have disrupted output. As a result, deliveries of the electric mid-size SUV have remained below the high expectations so far.
In May, Mercedes-Benz announced the ramp-up of GLC production at its Bremen plant, where the new electric SUV is built on a flexible production line alongside hybrid and combustion-engine models.
The Stuttgart-based manufacturer has repeatedly highlighted strong demand for the new electric model: “In its first three months, the new electric GLC was ordered more frequently than any other electric vehicle in the company’s history,” the corporate headquarters proudly stated.
Supply problems
According to a report by the German business daily Handelsblatt, citing sources within the company, production problems have emerged during the ramp-up. A Mercedes-Benz spokesperson confirmed the issues to the newspaper, saying: “During the ramp-up of the battery-electric GLC, there were challenges with a small number of suppliers.”
The bottlenecks reportedly involved battery supplies from CATL and wiring harnesses from Kromberg & Schubert. Mercedes said the issues have since been resolved. The manufacturer now intends to make up for the lost output, although it remains unclear whether production can fully recover by the end of the year.
Customers are also feeling the impact. “Due to high demand and production issues, customers currently face waiting times of around six months for their vehicle,” Handelsblatt reports.
Batteries and wiring harnesses
The report provides further context for the supply issues. Last week, it emerged that battery manufacturer CATL had been forced to adjust its supply chain for European customers. Initial battery deliveries from the company’s new plant in Debrecen, Hungary, have reportedly been delayed, necessitating shipments from China instead.
It was already known that Mercedes-Benz’s electric van, the eVito (VLE), produced in Spain, is affected by this interim arrangement. The latest report indicates that GLC production has also been impacted. Ad hoc sea shipments from China take considerably longer than deliveries from within Europe, adding pressure on vehicle production schedules.
According to Handelsblatt, the delays at CATL’s plant in Debrecen are linked to environmental certification issues. The newspaper reports that Hungary’s new government is applying stricter standards than the previous administration under Viktor Orbán.
A second constraint on GLC production in Bremen was a shortage of wiring harnesses supplied by Kromberg & Schubert. According to Handelsblatt, the disruption was linked to production problems at the supplier’s plant in Morocco, which was reportedly damaged by severe flooding in the spring.
The slowdown at the Bremen factory is also reflected in registration figures for the electric GLC. Citing data from Dataforce, Handelsblatt reports that only 3,300 vehicles have been newly registered across Europe since deliveries began on 14 May. By comparison, the report notes that the BMW iX3, which has been on sale for two weeks longer, has already recorded almost 15,500 registrations.
For Mercedes, the new electric GLC is an important model, as is the upcoming new C-Class sedan, which will also be available as a fully electric model. We can be sure that Mercedes is doing everything in its power to solve the problems as soon as possible.
But in this geopolitical and economic fast-evolving world, securing supply chains is becoming increasingly difficult. Unfortunately, we’ll see more of this in the future, and every manufacturer can become a victim of it.
